Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

Search
  • FIRST POST
    • judyb123
    • By judyb123 6th Feb 18, 3:41 PM
    • 10Posts
    • 2Thanks
    judyb123
    hitachi capital loan (via bathstore)
    • #1
    • 6th Feb 18, 3:41 PM
    hitachi capital loan (via bathstore) 6th Feb 18 at 3:41 PM
    I'm wanting to get advice from members about a bathstore loan I took out via hitachi capital last year. It was one of those store credit deals where you get the goods and there is an interest free period. You have to be careful, as they then load all the interest into the very first payment after the free period ends.
    I thought I was being careful, I called them today to see when my payment period would begin so I could pay off without incurring any interest charges. I had thought this would be in march so I thought I had got to them in good time. I remembered the bathstore representative had told me not to worry, that the finance company would send me a letter a month before the interest free period ended. As I'd not received the letter I thought it best to call.
    I was informed that I was sent an email in December, that my interest free period had come to an end on the 30th January and that they had now added 800 of interest - and then a nice, how would you like to pay madame type of call began..

    I've then checked and the email they sent me had of course landed in my spam folder along with hundreds of other spam type messages. There's no way that I would have ever seen this. I asked why they didn't send me a letter and chose instead to send out one email. They said this is the best way for them to work. I really do smell a rat here, I work in marketing and know that the majority of emails go unread or land in spam folders never to see the light of day.

    So, I have had to pay the finance off along with the 800 of interest, but told them I will go to the ombudsman. I asked if there was a resolution they could offer me and they said no, that the email was sufficient notice of the end of the agreement.

    So, I'm wondering if anyone else has had similar experiences? Or if anyone has fought and won a case like this before? This type of mis-selling in store for store credit reeks of the same mis-selling of PPI. Surely people should be warned, or sent proper letters or receive a phone call. Thats a lot of money they just took off me, and all because and email landed in my spam folder!!
Page 1
    • zx81
    • By zx81 6th Feb 18, 3:47 PM
    • 16,792 Posts
    • 17,805 Thanks
    zx81
    • #2
    • 6th Feb 18, 3:47 PM
    • #2
    • 6th Feb 18, 3:47 PM
    Were you given the end date in the original contract?
    • judyb123
    • By judyb123 6th Feb 18, 4:12 PM
    • 10 Posts
    • 2 Thanks
    judyb123
    • #3
    • 6th Feb 18, 4:12 PM
    • #3
    • 6th Feb 18, 4:12 PM
    I am sure I would have been given the end date - I was in the middle of a huge build and received so much paperwork. I know its no excuse but I was simply waiting for the reminder letter to pay if off before the interest period set in.
    • spadoosh
    • By spadoosh 6th Feb 18, 4:20 PM
    • 5,132 Posts
    • 6,881 Thanks
    spadoosh
    • #4
    • 6th Feb 18, 4:20 PM
    • #4
    • 6th Feb 18, 4:20 PM
    I am sure I would have been given the end date - I was in the middle of a huge build and received so much paperwork. I know its no excuse but I was simply waiting for the reminder letter to pay if off before the interest period set in.
    Originally posted by judyb123
    You know the answer all ready. I get wanting to be angry at them and wanting a vent but theres only one reason youve been charged interest and thats because you agreed to it.

    An expensive lesson. Either learn to take advantage of interest free periods better or avoid playing the game all together. Only takes a small mistake or a lapse in judgement to cost hundreds.
    Don't be angry!
    • judyb123
    • By judyb123 6th Feb 18, 4:25 PM
    • 10 Posts
    • 2 Thanks
    judyb123
    • #5
    • 6th Feb 18, 4:25 PM
    • #5
    • 6th Feb 18, 4:25 PM
    I'm also astounded that I can be charged 800 for paying off the agreement 8 days after the interest free period ended - surely this isn't right. They told me unless I paid today then interest would keep going up. I decided to cut my losses and gave them 5481. The initial interest free loan was for 4704, taken out in March 2017. Apparently these interest free loans aren't as they seem, when the lady told me I should have paid the full amount on the 30th January 2018, as I hadn't they back dated all the interest - which still seems high - interest of 800 for 9 months of an interest free period. Surely this practice is misleading to customers. I don't often get loans or pay interest on credit cards so its not my strong point. And it was sold to me by a shop manager who obviously didn't give me all the information and made it clear that I didn't need to worry about anything, just wait for the letter to arrive and thats it! Maybe sales assistants with no financial training shouldn't be selling personal loans!
    • Oakdene
    • By Oakdene 6th Feb 18, 4:26 PM
    • 1,926 Posts
    • 7,080 Thanks
    Oakdene
    • #6
    • 6th Feb 18, 4:26 PM
    • #6
    • 6th Feb 18, 4:26 PM
    I'm also astounded that I can be charged 800 for paying off the agreement 8 days after the interest free period ended - surely this isn't right. They told me unless I paid today then interest would keep going up. I decided to cut my losses and gave them 5481. The initial interest free loan was for 4704, taken out in March 2017. Apparently these interest free loans aren't as they seem, when the lady told me I should have paid the full amount on the 30th January 2018, as I hadn't they back dated all the interest - which still seems high - interest of 800 for 9 months of an interest free period. Surely this practice is misleading to customers. I don't often get loans or pay interest on credit cards so its not my strong point. And it was sold to me by a shop manager who obviously didn't give me all the information and made it clear that I didn't need to worry about anything, just wait for the letter to arrive and thats it! Maybe sales assistants with no financial training shouldn't be selling personal loans!
    Originally posted by judyb123
    But you have said in your opening post....

    You have to be careful, as they then load all the interest into the very first payment after the free period ends.
    Originally posted by judyb123
    Hiraeth
    • judyb123
    • By judyb123 6th Feb 18, 4:28 PM
    • 10 Posts
    • 2 Thanks
    judyb123
    • #7
    • 6th Feb 18, 4:28 PM
    • #7
    • 6th Feb 18, 4:28 PM
    I just wish they had sent a reminder letter. i'm very good at reading letters... I don't like how they sent an email that they probably know will go into spam (over 60% of all emails land in spam folders). If they had sent a letter - like all other financial institutions then I would have paid the loan off - I had the money in the bank. But no letter meant I had to give them 800!
    • Shakin Steve
    • By Shakin Steve 6th Feb 18, 4:31 PM
    • 1,429 Posts
    • 1,152 Thanks
    Shakin Steve
    • #8
    • 6th Feb 18, 4:31 PM
    • #8
    • 6th Feb 18, 4:31 PM
    It really doesn't matter, legally, whether you think the conditions of the loan were onerous or not. All of the important details will have been in the contract that you signed. The fact that you were busy with renovations isn't really a consideration, I'm afraid.
    I believe Argos run a similar scheme, 6 months free credit then pay it off or accrue interest.
    Last edited by Shakin Steve; 06-02-2018 at 4:36 PM.
    I came into this world with nothing and I've got most of it left.
    • judyb123
    • By judyb123 6th Feb 18, 4:33 PM
    • 10 Posts
    • 2 Thanks
    judyb123
    • #9
    • 6th Feb 18, 4:33 PM
    • #9
    • 6th Feb 18, 4:33 PM
    could you just let me be 800 angry just for one day...? I think I deserve that at least! Of course they want you to go over the interest free period...

    I think I'm just bitter! I wouldn't mind but the bathstore stuff I bought is all rubbish and falling apart already! I'm never using bathstore again and I'm not using any form of 'interest free' store loan type products.

    I'm off to buy a cadbury cream egg!
    • spadoosh
    • By spadoosh 6th Feb 18, 4:35 PM
    • 5,132 Posts
    • 6,881 Thanks
    spadoosh
    I just wish they had sent a reminder letter. i'm very good at reading letters... I don't like how they sent an email that they probably know will go into spam (over 60% of all emails land in spam folders). If they had sent a letter - like all other financial institutions then I would have paid the loan off - I had the money in the bank. But no letter meant I had to give them 800!
    Originally posted by judyb123
    Your option is you wish they couldve sent you a letter result = you paying 800.

    My option is: Im glad i put a reminder in my phone to pay off that credit card (my circumstance) result = 2.5 years interest borrowing someone elses money.

    Concentrate on the things you can control. Ie yourself. You can remind yourself of important dates by using a calendar, setting reminders, making notes or keeping a diary. All of these wouldve prevented you paying interest. Yet you choose to focus on the one thing that the company did (Remind you that you agreed to pay some money and it would be in your best interests to repay soon so you dont get charged). So you did nothing, and the company did what it was supposed to yet its still the companies fault?
    Don't be angry!
    • Shakin Steve
    • By Shakin Steve 6th Feb 18, 4:37 PM
    • 1,429 Posts
    • 1,152 Thanks
    Shakin Steve
    could you just let me be 800 angry just for one day...? I think I deserve that at least! Of course they want you to go over the interest free period...

    I think I'm just bitter! I wouldn't mind but the bathstore stuff I bought is all rubbish and falling apart already! I'm never using bathstore again and I'm not using any form of 'interest free' store loan type products.

    I'm off to buy a cadbury cream egg!
    Originally posted by judyb123
    OK.....let it all out, girl.......you'll feel better for it
    I came into this world with nothing and I've got most of it left.
    • spadoosh
    • By spadoosh 6th Feb 18, 4:38 PM
    • 5,132 Posts
    • 6,881 Thanks
    spadoosh
    could you just let me be 800 angry just for one day...? I think I deserve that at least! Of course they want you to go over the interest free period...

    I think I'm just bitter! I wouldn't mind but the bathstore stuff I bought is all rubbish and falling apart already! I'm never using bathstore again and I'm not using any form of 'interest free' store loan type products.

    I'm off to buy a cadbury cream egg!
    Originally posted by judyb123
    That 800 might not be a complete waste of money then.

    Its good your angry about this it should mean you dont repeat the same mistake.

    (sorry i forget i have a signature sometimes, its not aimed specifically at you)
    Don't be angry!
    • judyb123
    • By judyb123 6th Feb 18, 4:41 PM
    • 10 Posts
    • 2 Thanks
    judyb123
    I borrowed the money for 9 months.. My reminder was for march as thats when I thought I needed to pay it off - I thought i was contacting them early, in good time. I need to dig out the original agreement as bathstore had messed the order up so badly that it kept changing and they had to cancel the agreement and re set it up. I'm usually very ordered and keep everything on a spreadsheet.. I have all my orders filled away, at present all I can see is the actual order, and not the finance information which i remember taking back in to the store as they needed to refund me some money as they had overcharged.
    • Tarambor
    • By Tarambor 7th Feb 18, 2:43 PM
    • 2,827 Posts
    • 2,042 Thanks
    Tarambor
    I'm also astounded that I can be charged 800 for paying off the agreement 8 days after the interest free period ended - surely this isn't right.
    Originally posted by judyb123
    You thought it was right when you signed the agreement. And yes they can.
    They told me unless I paid today then interest would keep going up. I decided to cut my losses and gave them 5481. The initial interest free loan was for 4704, taken out in March 2017. Apparently these interest free loans aren't as they seem,
    They're exactly as they seem. I've never paid any interest on them because I've repaid them by the date due.
    when the lady told me I should have paid the full amount on the 30th January 2018, as I hadn't they back dated all the interest - which still seems high - interest of 800 for 9 months of an interest free period.
    But it is no longer interest free if you exceed the 0% period.
    Surely this practice is misleading to customers.
    How is it misleading? It is pointed out in the advertising in the store, it is on the credit agreement YOU READ AND SIGNED.
    • judyb123
    • By judyb123 9th Feb 18, 3:38 PM
    • 10 Posts
    • 2 Thanks
    judyb123
    I just wanted to post an update on this situation. I have now read over every details in the contract and it does not say they can backdate the interest once the interest free period ends. I spoke to Hitachi about this and received a reply that tells me this information was then emailed to me on the 22nd march 2017 (nearly two months after I took out the loan). Of course, as their emails were landing in my quarantine folder I did not receive this email. When I pushed them on the email they said that because the email didn't bounce it must have been viewed. This isn't the case. So many emails are sent and caught in spam filters. When I asked why they hadn't posted me a letter to tell me about the interest they said they do not post letters. They then referred me to a clause in the contract which mostly relates to sharing my information and there is then a line that says 'if you have supplied an email address or mobile telephone number we may use these to provide you with information about your account'. The rep from Hitachi tells me this is their way of telling me they will contact me via email. I wonder then, why they use the word 'may' - and does this mean I have to check my emails every day for a year just in case I receive important information that I'm not yet aware of?

    I have now logged this case with the financial ombudsman.
    • judyb123
    • By judyb123 9th Feb 18, 3:41 PM
    • 10 Posts
    • 2 Thanks
    judyb123
    Just to be clear - I did not sign a contract that says interest would be backdated to the first day of signing. On my contract it tells me that I had an interest free period and then, once the interest free period is up I will then begin paying interest on the loan of 19.9% APR.
    • fozmcfc
    • By fozmcfc 9th Feb 18, 4:15 PM
    • 3,004 Posts
    • 2,192 Thanks
    fozmcfc
    You might be lucky with the FO, but you'll need to be very lucky for them to side with you.

    I know you're annoyed, but you should be annoyed with yourself for not making sure of the due date. You really are clutching at straws, but I guess you've nothing to lose.

    One thing to be extra careful if people are taking out these deals, is that the payment due day, is very specific. My mate got caught out once by trying to pay on the day he got delivery, but it was the day he applied for finance that the payment needed to be made by. He ended up paying hundreds in interest due to this error.

    Judy, do come back and let us know how you get on, it would be useful info, for others in the future.
    • Shakin Steve
    • By Shakin Steve 9th Feb 18, 4:20 PM
    • 1,429 Posts
    • 1,152 Thanks
    Shakin Steve
    I've seen this "If you have supplied an email address..............." written in T&C's before. I wonder if it's industry standard?
    I came into this world with nothing and I've got most of it left.
    • Shakin Steve
    • By Shakin Steve 9th Feb 18, 4:24 PM
    • 1,429 Posts
    • 1,152 Thanks
    Shakin Steve
    Here is the exact wording from the ARGOS buy now, pay in six months offer:


    You won't be charged any interest if you pay off your plan within the Pay Later period and keep your account up to date. If you don't pay off your plan before it ends, you'll be charged interest at your normal plan rate from the date of purchase. However, if you choose to make payments without clearing the balance, the earlier you pay the less interest you'll be charged. Credit subject to status.

    Not the same retailer, I know, but that definitely says from date of purchase.
    I came into this world with nothing and I've got most of it left.
    • Shakin Steve
    • By Shakin Steve 9th Feb 18, 4:25 PM
    • 1,429 Posts
    • 1,152 Thanks
    Shakin Steve
    And here's the Hitachi wording:

    https://www.hitachicapital.co.uk/retail-finance/buy-now-pay-later/
    I came into this world with nothing and I've got most of it left.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

154Posts Today

2,545Users online

Martin's Twitter
  • It's the start of mini MSE's half term. In order to be the best daddy possible, Im stopping work and going off line? https://t.co/kwjvtd75YU

  • RT @shellsince1982: @MartinSLewis thanx to your email I have just saved myself £222 by taking a SIM only deal for £7.50 a month and keeping?

  • Today's Friday twitter poll: An important question, building on yesterday's important discussions: Which is the best bit of the pizza...

  • Follow Martin